UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: bossgobbler Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75383  
Subject: traditional IRA Date: 7/19/2000 1:51 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
I am planning on waiting until 59 1/2 so that I can withdraw money from my IRA penalty free. I also plan on being retired at this time, so I should not have to pay income tax. Considering that my income tax rate would be 0% since I am not generating any income, shouldn't I contribute to a traditional IRA rather than a Roth IRA. I figure if I have no income, then my tax burden will be exactly the same with a traditional as a Roth. Also, the tax benefits I will get every year from my traditional IRA while I am still working, I can reinvest. The total return from my traditional IRA + my reinvested tax return every year should beat what I would have had in a Roth. Is this correct?
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement